One of the biggest problems manufacturers in the UK have is competing with cheaper imported goods. Whilst I am not saying any of these are wrong manufacturers in this country have to jump through a million legislative hoops before the goods actually "hit the shelves" . Imagine a widget. In order to make that widget the manufacturer has to pay wages of at least the minimum rates set by government , employers NI, employers liability insurances, workplace pension , sick pay, maternity pay, paternity pay etc. corporation tax, rates, rent (or mortgage),electricity,gas, water, buildings insurance, fire insurance etc. he/she is subject to strict H&S laws and various random inspections.
I could go on and bore you to tears with another hundred things a manufacturer has to consider in order to make that widget. Which is partly why a lot of manufacturing has gradually moved away from the UK.
That "widget" could easily be a box of cereal or a pat of butter.